London pre-open: Chinese data figure knocks investor sentiment

City sources predict the FTSE 100 will open down nine points from yesterday's close of 5,738 after Chinese manaufacturing data for April came in slightly below expectations at 53.3, missing a forecast of 53.6. The number was up from 53.1 the previous month at 53.1. Profits at Lloyds Banking Group were back in the black in the first quarter, but the bank has had to set aside more money to cover the mis-selling of payment protection insurance (PPI). The bank, which is 41% owned by the UK tax payer, said pre-tax profits came in at £288m compared to a massive loss of £3.47bn in the first three months of last year. However, this was down 9% compared to the £316m it made in the last quarter of 2011. Underlying replacement cost profit at integrated oil major BP was down in the first quarter, with the downstream business primarily responsible for the fall-off. Underlying replacement cost profit after tax in the three months to the end of March came in at $4,799m, down from $5,504m in the first quarter of 2011.Switzerland-headquartered mining giant Xstrata gave a mixed first-quarter production report on Tuesday morning, but assured that all of its major projects continue to make good progress and remain on schedule. The firm saw volumes of thermal coal, mined nickel, ferronickel and lead all increase year-on-year in the first three months of 2012.